Page 3 - Indian Rupee

Oil retreat hands RBI an assist in boosting rupee's near-term outlook

Economists have upgraded their outlook for India's balance of payments following the RBI's measures, with most now expecting a marginal surplus this fiscal year

Rupee rises 58 paise to 94.60 against US dollar during early trade

The rupee rose 58 paise against the greenback to 94.60 in early trade on Monday as global crude oil prices dropped sharply after US President Donald Trump announced that the US and Iran finalised a deal to end the war. A strong start to the day at the domestic equity markets and a weaker US dollar further drove the local unit, forex traders said. At the interbank foreign exchange, the rupee opened at 94.70 against the US dollar before rising further to 94.60, up 58 paise from its previous close. The rupee surged 67 paise to close at 95.18 against the greenback on Friday. The US and Iran finalised a deal to end their 107-day war and open the Strait of Hormuz, the narrow waterway used to ferry one-fifth of the global oil supplies, on Friday after an in-person signing of the agreement in Switzerland. US President Donald Trump made the announcement on Truth Social on Sunday evening, easing pressure on the global energy markets, as officials said the peace agreement would be signed on

Rupee appreciates beyond 95 briefly as dollar positions unwind on oil slide

The rupee appreciated sharply and government bond yields eased as lower crude oil prices and hopes of a US-Iran agreement improved investor sentiment

Rupee surges 65 paise to 95.20 against US dollar during early trade

The rupee surged 65 paise to 95.20 against the US dollar in early trade on Friday as global crude oil prices retreated after US President Donald Trump indicated an imminent deal with Iran. A weaker greenback and positive sentiment at the domestic equity markets provided further boost to the local unit, according to forex traders. At the interbank foreign exchange, the rupee opened at 95.40 before rising further to 95.20 against the greenback. The rupee had plunged 60 paise to settle at 95.85 against the US dollar on Thursday. "The rupee opened stronger on Friday, fuelled by a sharp retreat in global crude oil prices. This relief comes in the wake of statements from US President Donald Trump indicating an imminent deal with Iran and the cancellation of planned military strikes," Aamir Makda, Commodity & Currency Analyst, Commodity Technical Research, Choice Broking, said. "We expect the rupee... to maintain a positive bias between 95 and 95.30 throughout the day. While the Reserve

Rupee risks persist as oil shock could outpace policy response

The clock is ticking on the capital inflows that the recent measures of the government and the RBI are expected to garner

Rupee declines 32 paise to 95.57 against US dollar in early trade

The rupee plunged by 32 paise to 95.57 against the US dollar in early trade on Thursday following a rise in global crude oil prices as hostilities between the US and Iran continued. Heavy FII outflows, weak domestic equity market and a marginally stronger greenback further weighed on the local unit. At the interbank foreign exchange market, the rupee opened at 95.55 against the US dollar before dropping further to 95.57. The local unit appreciated 16 paise to close at 95.25 against the US dollar on Wednesday, amid likely intervention from the Reserve Bank of India (RBI) to curb excessive volatility and prevent a further slide in the domestic unit. "The rupee had a weaker opening with oil prices climbing after Iran and the United States traded strikes. INR has support due to dollar selling by state-run banks, likely on behalf of RBI. "Apart from oil prices, the rupee will have to contend with a tepid risk environment, following a further sell-off in US equities. While US inflation

RBI likely stepped in to support rupee, conducts swaps, say traders

The rupee was at 95.27, up modestly ‌on the day after hitting an intra-day low of 95.5625 in early trading

Rupee falls 15 paise to 95.56 against US dollar during early trade

The rupee depreciated 15 paise to 95.56 against the US dollar in early trade on Wednesday as fresh escalations in the West Asia war lead to a spike in crude oil prices and pressurised the rupee. Forex traders said the USD/INR pair opened on a negative note after US President Donald Trump said Iran was responsible for downing an American military helicopter near the Strait of Hormuz and that the US "must" respond to the attack. At the interbank foreign exchange market the rupee opened at 95.52, then lost ground and touched 95.56 in initial trade, registering a fall of 15 paise from its previous close. On Tuesday, the rupee appreciated 20 paise to close at 95.41 against the US dollar. According to traders, the Indian rupee is trading with a negative bias and remains under severe pressure due to renewed geopolitical tensions in West Asia. As India heavily relies on energy imports, any spike in global crude oil prices directly widens the trade deficit and weakens the domestic currency

Rupee gains as oil retreat soothes, inflow expectations erode weak bias

The rupee gained 0.4% against the dollar as lower crude prices and RBI measures to boost foreign-currency inflows eased concerns over India's external balances

Rupee rises 20 paise to 95.41 against US dollar as West Asia tensions ease

The rupee rose 20 paise to 95.41 against the US dollar in early trade on Tuesday as Brent crude oil prices and the US dollar index retreated from their elevated levels after a pause in US-Iran hostilities. Forex traders said the rupee opened on a positive note after Israel and Iran agreed to deescalate and ease strikes. At the interbank foreign exchange market the rupee opened at 95.47, then touched 95.41, registering a gain of 20 paise from its previous close. On Monday, the rupee depreciated 43 paise to settle at 95.61 against the American currency. The rupee is likely to trade a 95.40-95.80 range with weakening bias, IFA Global said in a research note. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 99.98, down 0.06 per cent. Brent crude, the global oil benchmark, was trading lower by 0.99 per cent at USD 93.32 per barrel in futures trade. On the domestic equity market front, Sensex climbed 350.57 points to

RBI's latest measures may have steadied rupee, but risks far from over

RBI's incentives may attract short-term foreign inflows and ease pressure on the rupee, but they do little to address weak FDI and sustained foreign investor outflows

Rupee defence lifts RBI's net short dollar book past $110 billion mark

RBI ramped up its interventions after the rupee weakened to a record low on May 20, almost hitting the 97 per dollar mark

What steps India has taken to stem dollar outflows, support rupee

A surge in oil prices following the Iran ​conflict and selling of Indian stocks by foreign investors are likely to widen ​the BoP deficit this financial year

Goldman Sachs sees rupee weakness capped after RBI's steps to boost inflows

Goldman's comments hold significance as the rupee fell to a new low of 96.9650 per dollar last month amid a surge in global crude prices and record overseas outflows from equities

Rupee declines 17 paise to 95.35 against US dollar in early trade

Rupee fell 17 paise to 95.35 against US dollar in early trade on Monday, weighed down by the strength of the American currency in the overseas market amid strong US economic data and continuing geopolitical uncertainty. Forex traders said elevated Brent crude prices dented investor sentiments. Crude oil prices surged after Iran launched multiple rounds of missiles toward Israel, raising concerns about the stability of the region and the durability of ceasefire efforts. Investors are also monitoring developments in West Asia and awaiting key economic data from the US, which could set the path for fresh clues from the US Federal Reserve on interest rate path, they said. At the interbank foreign exchange market, the rupee opened at 95.35 against the US dollar, down 17 paise from its previous close. On Friday, the rupee appreciated 56 paise to close at 95.18 against the US dollar, marking its strongest single-day gain in almost two months, after the Reserve Bank announced measures to

BS Poll: Rupee may stay under 95 against the dollar till September

The local currency settled at 94.94 per dollar, the highest since May 8, against the previous close of 95.79 per dollar

Capital flows can support the rupee, but exports must sustain its strength

Tax breaks and RBI measures may attract foreign funds and support the rupee, but lasting currency strength depends on exports, FDI and competitiveness

Withdrawal of taxes on FPI investment in Gsec: The final frontier?

The important question is whether or not there will there be an about turn in the flow of funds in the debt segment? This is something which will be tested in the coming months.

Central bank preparing for external stress, a theme to prevail in FY27

It is the behaviour of a central bank preparing for a period of external stress, said Sujan Hajra, chief economist and executive director, Anand Rathi Group

Rupee jumps 50 paise to 95.24/$ after RBI eases FPI investment norms

The rupee appreciated 50 paise to 95.24 against the US dollar on Friday after the RBI liberalised norms for FPI investment in government securities. Forex traders said the announcements in the RBI policy boosted investor sentiments after the apex bank asserted that the country's forex reserves provide sufficient buffer against external shocks. At the interbank foreign exchange market, the rupee opened at 95.72, then touched 95.24 in intraday trade, registering a rise of 50 paise from its previous close. On Thursday, the rupee rose 2 paise to settle at 95.74 against the US dollar. The Reserve Bank on Friday expectedly kept interest rates unchanged for the second time in a row as it weighed the impact of rising energy prices and supply disruptions caused by the West Asia crisis. Announcing the second bi-monthly monetary policy for the current fiscal, RBI Governor Sanjay Malhotra said the Monetary Policy Committee (MPC) has unanimously decided to retain short-term lending rate or rep